operational costs
Business functioning expenses
Operational costs are the ongoing expenses required to run a business or organization—rent, utilities, payroll, supplies, maintenance.
Distinguished from capital costs (one-time purchases of equipment or property), operational costs recur regularly and must be covered for the enterprise to function: We need to reduce operational costs to stay profitable.
Also called operating costs or operating expenses.
- salariesFixed regular payments for work
- rentPayment for temporary use
- expensesMoney spent on things
- insurance premiumsPeriodic payments for coverage
- packagingProtective product enclosure
raw materials · utilities · keeping the lights on · property taxes · depreciation · loan interest · office supplies · maintenance · expenditure · security services · sales commissions · transportation · lease payments · payroll · subscription fees · overhead · operating budget · bottom line
- accountingbookkeeping, ledger, balance sheet, general ledger, accounts payable
- practice managementoffice management, billing, invoicing, payroll, staffing
- farm accountingfarm income, expense tracking, cash flow, balance sheets, income statements
- transport financeoperating costs, passenger fares, pricing strategy, baggage fees, landing fees
- budgetingbudget, budgets, budget app, budget template, budget allocation
- bookkeepingledger, general ledger, accounts, ledgers, journal entry
operational costscapital expenditures
Spending on lasting assets
capital investments · CAPEX · infrastructure investments · long-term investments · startup costs
operational costsoperating income
Earnings from core operations
earnings · income · proceeds · revenue · gross revenue